The arrival of the monsoon has eased the heatwave damage in northern Indian states, but it also poses major challenges.
On Friday (June 28), Delhi The heaviest daily precipitation in 88 yearsParts of the national capital, especially low-lying areas, were flooded, causing traffic jams and power outages. Parking lots were also submerged due to the water, and two-wheelers were submerged.
Water entering the car can damage the engine, electrical system, and interior. Repairing a flood-damaged car can be a huge financial burden for the owner. There are a variety of car insurance plans and add-ons available in the market, but care must be taken when choosing the right car insurance to protect against flood damage.
How can flooding damage a car?
Water intrusion can cause serious problems such as engine failure, damage to electrical and electronic systems, rust, and bad odors. Excessive water exposure can also lead to gearbox failure. Water intrusion into a parked vehicle can also cause damage to interior seats, panels, etc. Some of these problems will be obvious right away, while others will develop over time.
Do all car insurance policies cover flood damage?
“The comprehensive policy will cover all kinds of incidents due to fire, flood and theft,” said TA Ramalingam, chief technology officer, Bajaj Allianz General Insurance.
Comprehensive car insurance covers flood damage but is depreciated according to the age of the car – all plastic and rubber parts are subject to a 50% depreciation and only half of the repair cost is covered, with the remaining amount being borne by the policyholder.
However, a standalone comprehensive auto policy may not cover all flood damages.
Can insurance companies deny claims for flood damage?
Basic comprehensive car insurance will cover all flood-related damages, but if damage to the vehicle was caused by the driver’s deliberate actions, the insurer may deny coverage.
“If you park your car in a basement, let it submerge, report it directly to your insurer and get it towed to a service centre or garage, there will be no problem. But if you try to start the car after it is submerged, the engine will get hydraulically locked. In such cases, insurers will not cover engine failure as it is a consequential loss due to an intentional act,” said Nitin Kumar, head, motor insurance business, Policybazaar.com.
When a car engine comes into contact with water, it causes a hydraulic lock. If water gets in when the engine is running, it will damage the engine. If water gets in when the engine is not running, there may not be any damage, but it is recommended that you get professional assistance before starting the engine.
What type of car insurance should you choose?
Changing weather patterns, unplanned development and inadequate drainage systems leave many cities unprepared for extreme rainfall and the resulting flooding.
Increased heavy rains should be kept in mind while purchasing car insurance. In addition to the standard comprehensive car insurance plan, you should opt for extra covers such as zero depreciation and engine protection cover.
“We are advising all our customers not to start their engines when they are stuck in flooded areas. The moment they start the engine, water will enter and it will clog and damage the engine,” Ramalingam said.
A standalone car insurance plan won’t cover engine damage caused by flooding, but buying additional engine failure cover can help pay for repairs to a significant extent, he said.
You can also choose a consumables warranty that protects you against the cost of replacing engine parts such as engine oil and lubricants.
Other extra options include roadside assistance, key and lock cover and loss of personal belongings.
